USA – Carmike has released its quarterly figures and discussed them in a conference call. Overall the company claims to be weathering the downturn pretty well, despite a drop in profits of over 50%, with a strong recent focus on M&As. Here is what S. David Passman III, the company’s President and CEO had to say.
Carmike once again outperformed the overall domestic box office in revenue and attendance during the quarter, which was a challenging period for the U.S. market, due to very strong box office results posted during the second quarter of 2013. Despite the domestic industry decline of almost 7%, Carmike’s admissions revenues actually increased by 7% during the three month period, and our total attendance grew 4%.
On a per screen basis, our box office receipts declined less than 1%. In fact, Carmike’s per screen performance was nearly 600 basis points better than the overall industry. As I have said in the past, while the film slate will vary from quarter-to-quarter, our expanded scale and companywide emphasis on customer service excellence, combined with our growing circuit of high quality theater, remain important factors in our ability to generate favorable operating results over the long term. LINK
Brazil – Barco is the projector supplier for the recent Doremi/Quanta deal that we wrote about yesterday. Some insights into the market from the press release.
Digital cinema expert Barco is proud to announce that it has recently closed a deal with integrator Quanta DGT to supply 500 digital cinema projectors to theaters in Brazil through a Virtual Print Fee (VPF) financing model. Many of the largest cinema exhibitors – Cinesystem, GNC, Cine Sercla, CineShow, CineArt, AFA Cinemas, PlayArte, Arcoplex, Cinematográfica Araujo – and dozens of small exhibitor groups have chosen to go digital with Barco digital cinema projectors.
While Brazil is the world’s tenth most important cinema market in admissions, the digitization percentage has been quite low for a long time: only around 38% of the 2,500 screens were digitized by the end of 2013. Recent public policies encouraging exhibitors to digitize their screens, including the VPF program, are taking hold and over 70% of the country’s exhibitors have already joined the program. Many of them rely on the support of system integrator Quanta DGT who, together with global digital cinema leader Arts Alliance Media have VPF agreements with the Hollywood studios to fund the rollout of digital cinema across Latin America. LINK